The fast growing yoga retail phenomenon, Lululemon, “[continues to defy its doubters with an almost 50-per-cent jump in quarterly profit to $57.2-million]” (Strauss, 2012).

Christine Day (chief executive of Lululemon) says the company is quickly learning from past mistakes, such as problems of bleeding colour dyes, and the brands’ discontinuing of a popular pair of loose fitting pants. To move forward from these set-backs, the company publicly apologized on Facebook, and announced the bringing back of the “still” loose-fit-pants in a “reinvented” way.

The company manages not only to fix their mistakes, but even profit from the changes it makes to fix them. Lululemon has added to its business model, and is continuing to get better at stocking enough products to keep up with consumer demands. However, at the same time the retailer limits the carrying of merchandise on its e-commerce site, in order
to create a higher demand.

Lululemon is a unique and highly recognized brand, with a highly desirable manifesto; this  is their public policy. They emphasize the importance of putting friends before money, trying new things, and leading a healthy life. What they stand for establishes a strong bond with customers, and therefore leads to successful sales.

By: MARINA STRAUSS -The Globe and Mail

Source: http://www.theglobeandmail.com/globe-investor/lululemon-earnings-jump-on-sales-gains/article4525921/